Quarterly Update
Sydney, July 28, 2022 AEST (ABN Newswire) - Haodex Limited (
NSX:HAO) is pleased to update the market on its activities for the quarter ended 30 June 2022.
Updates on BulkBuy
BulkBuy is a wholesale and retail e-commerce marketplace that allows users and businesses to participate in group buying deals. BulkBuy enables merchants to set up an online store similar to the operation of Amazon and sell products from Chinese factories directly to all USA customers and businesses. On the Bulkbuy marketplace, Haodex generates revenue from sales commissions, membership fees and product listing fees.
Haodex currently has in total of 129 franchisees with wide coverage in six provinces in China and Sydney Australia.
To 30 June 2022, Bulkbuy received revenue of $4.58 million Chinese Yuan (AUD$974k) in this quarter.
Strategic Partnership with NJZH by introducing Cross-border E-commerce Pilot Zone
Haodex has established a long-term strategic partnership for the development of cross-border ecommerce platform supply chain services. (Refer to the NSX Announcement on 31 March 2022).
NJZH has introduced the secretary of Nanjing Cross-border E-commerce Pilot Zone to provide an opportunity for Haodex to settle in the pilot zone with local office space. In these pilot zones, local governments provide a variety of trade services ranging from logistics, payment, law, taxation and customs clearance to facilitate enterprises' cross-border e-commerce businesses. The pilot zones provide comprehensive services to its members including a training and education programme on how to sell to overseas and generate profit from the platform. Haodex has been exposed to local manufacrturers settled in the pilot zones and has acquired 12 new merchants to join Bulkbuy.
"Our Company has seen tangible benefits by entering the Cross-border E-commerce Pilot Zone," said Frank Huang, the Chairman of Haodex. "Haodex is finalising arrangements for a government subsidiary to support business development."
Quarterly Cashflow
The Company ended the quarter with a cash balance of $1.53 million. Quarterly operating cash outflows for the period were ($32k). During the June 2022 quarter, the aggregated amount of payments made to related parties and their associates totalled $44k for the director's fees.
COVID-19
The Company's operations in China have had to respond to the COVID-19 virus pandemic as a result of recent COVID control by the regional areas including Shanghai, Guangzhou, Beijing and Hangzhou. Marketing activities and expansion has been minimally impacted. However there have been some delays with site visits and finalising contracts due to travel restrictions, with a few marketing activities being postponed.
The Company's daily operations continue as normal with current initiatives being executed to acquire more merchants through its existing strategic partnerships and are in preparation of executing in-person marketing activities once released from the control of the local government.
The company expects that once restrictions are eased, the marketing and merchant acquisition initiatives will be able to be fully executed.
About Haodex Limited
Haodex Limited (NSX:HAO) is an Australian company focused on forward thinking online platforms and global projects.
Haodex owns 78% of and operates 2 omnichannel marketplaces, being MonkeyKing Australia (www.monkeykingaustralia.com) and BulkBuy (www.bulkbuyworld.com), and owns 100% of a short term Chinese accommodation hosting business, Franks Haus (www.frankshaus.com).
MonkeyKing is an online e-commerce platform which sources Australian products from Australian suppliers to distribute to consumers in Asia, mainly China.
BulkBuy is a wholesale e-commerce marketplace which allows users to participate in group buying deals. BulkBuy enables merchants to set up an online store and sell products directly to customers at wholesale prices by allowing several customers to participate in group buying deals (crowd-ordering).
Franks Haus is an online platform for leasing private properties, mainly for short term accommodation, in China. The platform will attract tourists
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